HomeMy WebLinkAbout03/18/05 B A K E R S F I E L D
CITY MANAGER'S OFFICE
MEMORANDUM
March 18, 2005
TO: Honorable Mayor and City Council
FROM: Alan Tandy, City Manager /'~"(~
SUBJECT: General Information
1. Congratulations to Councilmember Couch on his appointment as Chair of the Kern
Council of Governments for 2005-06. His chairmanship will also encompass the
Transportation Planning Policy Committee.
2. The City Manager's staff is going through departmental meetings regarding the
budget this week and next; it is very time consuming, and our staff is short, so
some referrals may be responded to more slowly.
3. There was a lot of "hype' in the media this week about a conflict between "The
Players' Challenge", an NHL all-star exhibition game, and a possible Condor
playoff date. We are holding 48 dates are "tentative holds" for the condors'
playoffs. Of those, they could use anywhere from zero to a maximum of thirteen.
When we get paying events, we book them and hold alternate dates for the
Condors. The "controversy" over this was blown out of proportion. It's a routine
part of arena business. By the way, the NHL Players' Challenge is only being
done in four cities: Vancouver, British Columbia, Phoenix, Los Angeles, and here
- that's pretty good company.
4. A PERS sub-committee is recommending a plan to stabilize annual pension
contribution rates paid by government agencies. The new plan would revise the
formula used to calculate rates and would spread the investment gains and losses
over a 15-year period, instead of the current 3 year period. A final decision from
PERS is expected next month. A recent article from the Sacramento Bee is
enclosed.
5. An article from the Chamber's March e-mail newsletter is enclosed regarding their
endorsement of the proposed transportation tax.
6. We will be able to reinstate the Employee Appreciation Breakfast this year, after a
two-year hiatus. It will be a meaningful way to thank our reduced work force for
persevering under challenging circumstances for the past few years. The date is
Friday, May 13th at Yokuts Park. You will receive an invitation with more details in
April. We hope you will be able to join us.
Honorable Mayor and City Council
March 18, 2005
Page 2
7. Responses to Council requests are enclosed, as follows:
Councilmember Carson
· Timeframe for repair of streets in the vicinity of the California Senior Housing
Project;
Councilmember Ma.q.qard
· Plans to distribute information regarding valley fever, per a citizen request;
Report on the feasibility of leasing police and service vehicles instead of
purchasing them;
· Report on the feasibility of hiring a pot hole crew instead of a paving crew,
hiring a private company to repave residential streets, and status of paving a
portion of Maywood Drive;
· Status report on efforts to apprehend graffiti vandal on California Avenue;
Councilmember Maq.qard and Couch
· A report on the evaluation of a Bulky Waste Collection program, including cost
per household to implement, will be presented at the March 30th City Council
meeting;
Councilmembers Couch and Hanson
· Status report on the request for City and County staff to develop a resolution or
JPA for a transfer station;
Councilmember Couch
· Report on implementing smaller traffic projects that may improve traffic flow,
such as right hand turn lanes, dual right hand turns, and protected rights.
AT:rs
cc: Department Heads
Pamela McCarthy, City Clerk
, ,~¢~;~:la ~,- rn~l~e¥- Fwd: FYI PERS may change rate methodologv Pa.cle 1 !1
From: Alan Tandy
To: Rhonda Smiley
Date: 3/17/2005 4:38:41 PM
Subject: Fwd: FYi PERS may change rate methodology
I
>>> John W. Stinson 3/17/05 8:23:32 AM >>>
CalPERS moves to limit swings in pension, costs
By Gilbert Chart -- Bee Staff Writer
Published 2:15 am PST Wednesday, March 16, 2005
A key panel of the California Public Employees' Retirement System endorsed a plan Tuesday to reduce
wild swings in government contributions, following'calls for a pension overhaul by Gov. Arnold
Schwarzenegger and other critics.
Under the plan, CalPERS would revamp a formula used to calculate annual pension contribution rates for
the state, cities and other government agencies. It would also spread investment gains and losses over a
15-year period instead of three years, as it does now.
At the same time, trustees agreed to explore legislation to create reserve accounts that government
officials can tap to meet their pension payments during economic downturns.
The move comes as Schwarzenegger and the Howard Jarvis Taxpayers Association cite rising
contributions as a drag on government budgets.
The governor wants to end guaranteed pension benefits for future public employees and replace them
with 401 (k)-style accounts that limit the state's contribution. He has asserted that taxpayers shoulder a
greater share of the pension burden benefits during stock- market downturns.
Members of the CalPERS Benefits and Program Administration Committee said the changes would
answer calls in recent years by local government officials to stabilize contribution rates.
The issue goes to the full CalPERS board today and a final decision is expected in April.
"It is literally about budgets," said Ron Seeling, chief actuary for CalPERS, which serves 1.4 million
government employees and retirees. Employee. and empleyer groups, he said, are saying: "Don't let us go
back to contributing zero."
State and local government employers - from cities to library districts - benefited from hefty investment
returns during the unprecedented bull market in the 1990s.
Flush with a surplus, many agencies and the state wound up making no pension contributions for one or
more years. But a prolonged bear market socked CalPERS with a string of stock market losses, and
employers were suddenly hit with substantial increases in pension plan payments.
"Big jumps are definitely hard," said Leigh Keicher, finance director for the city of West Sacramento.
"We're in a growing community. We're adding employees. We had to slow that (job) growth."
In fiscal 2001-02, for example, West Sacramento contributed 3.8 percent of payroll for its rank-and-file
employee pension program administered by CalPERS. It jumped to 11.8 percent in 2003-04 and to 14.2
percent this fiscal year. The city's contributions for firefighters grew dramatically to 34.4 percent last year,
from 10.7 percent in 2001-02. This year, the city must contribute 34.5 percent.
If rate swings are smoothed out, West Sacramento and other cities won't have to scramble to squeeze
more money out of their budgets.
~da~milev ~ Fwd: FYI PERS may chan~e~rate m~m~e~thod_gl~ogy_ Page 2~
CalPERS wants to reduce volatility by 50 percent a year. Officials estimate the new method would have
set the state contribution rate at 6.5 percent in 2000-01 and 13 percent ir1 2004-05.
California paid no pension contributions in 2000-01. This year, the rate rose to 16.5 percent of payroll.
If approved, the changes would be effective next year for the state and in 2006-07 for local agencies.
Fred Nesbitt, executive director of the National Conference on Public Employee Retirement Systems, said
other pension funds will be watching the changes.
"The fluctuation of the contributions is an issue ina number of states," Nesbitt said.
If the CalPERS plan is successful, Nesbitt said, "I'm sure other funds will look at it."
GBCC Metro ENews Page 1 of 5
Greater Bakerstield Chain ber of Commerce
[Volume II, Issue2 II,. II March 2005['
Please visit our sponsor websites
Table of Contents Chamber is,committed to education and a by clicking on the buttons below:
Chamber is com~nitted to . strong workforce but we need business
edworkforceUCa ti on and a strougbut need support now!'
business support now! The Chamberhas two outstanding programs geared
- Chamber-supported toward helping students succeed in school and be
ready to be successful in the wol~kPlace when they get
countywide
transportation
measure moves forward out of school. ~4~~
'Preschool Literacy Project At Work! -- our "teaching the teachers" program -- "'
seeking book donations reaches hundreds of students each year by first
March Events Yot~ Won't reaching their teachers and helping them understand
Want to 'Miss what the business world needs from students in order
to make them "work ready" after completing school.
Member News and
Announcements Youth Leadership takes high school students ,through
an immersion in our community, its opportunities and
challenges and has shown success in encouraging
~.?'!~?~.~!~t~...?~.~!i. students to stay in Bakersfield for their furore when
they leave sch°°l.
Both these programs need business sponsorship to c]. '/ ~. -~.
continue their worthwhile goals. To become a sponsor
of AtWork! contact Tonya Sterling at the Chamber,
tster!igg@bakersfie!g!~cha~ber,org. To become a
sponsor of Youth Leadership, contact Shirley Brewer,
· ......-.., ........ _s_br_ew_e_r~b akers fi eld chamb er . o~ .
· ....: .... :.Chamber-supported countywide
· '. '.' transportation measure moves forward
For more than a year, the Kern County Citizens for
Quality Transportation (KCCQT) - a broad-based
citizens group of which the Chamber is a part -- has
worked to develop a transportation measure that would
help meet the transportation-related needs throughout
the cities and unincorporated areas of Kern County.
The revenue from this type of measure is an important
http ://www.bakersfieldchamber.org/GB CC_ENewsPrint.htm 3/18/2005
GBCC Metro ENews Page 2 of 5
new funding source that would be dedicated solely to
local needs and would improve Kem County's ability
to leverage state transportation funds above what we
currently receive. This effort received a big boost at
the February 28 joint Kern County Board of
Supervisors/Bakersfield City Council Meeting, in
which both agencies solidified their support for the
continued development of this countywide
transportation measure by unanimously adopting a
resolution in support of the project.
The next steps include multiple workshops in the
various regions of the county designed to solidify
support for capital projects, road rehabilitation and
other proposed activities specific to those regions.
Several surveys will also be used to verify public
support for a proposed measure.
Preschool Literacy Project seeking book
donations
Donate your new or gently-used books for the
Building Blocks to Reading Success book drive taking
place March 17 through April 18.
Books for preschool and older children are welcome,
as are books that families can read to youngsters. A
collection box is available in the Chamber lobby and
donations will be accepted during regular .business
hours on Monday, 9am-5pm, and Tuesday-Friday,
8am-5pm.
A project of the Target Reading First Collaborative,
the drive is part of a on-going effort to promote
reading at an early age, which contributes to success
both in school and the workplace. For more
information, call the Chamber, 661-327-4421.
March Events You Won't Want to Miss
March 17: Networking Breakfast 7:30-9:30am.
1725 Eye Street
Guest Speakers:
Buck Bynum, Halliburton Energy
Services Ron McGranaham,
Weatherford, Inc. Bill Phillimore,
Paramount Farming FREE for Chamber
members; $20 for nonmembers
http://www.bakersfieldchamber.org/GBCC_ENewsPrint.htm 3/18/2005
B A K E R S F I E L D
CITY OF BAKERSFIELD
PUBLIC WORKS DEPARTMENT
MEMORANDUM
TO: Alan Tandy, City Manager
FROM: Raul Rojas, Public Works Director ~ ..__ ~
DATE: March 14, 2005
SUBJECT: STREET REPAIR AT CALIFORNIA SENIOR HOUSING PROJECT
Referral No. 1057 (Meeting: 3/09/05)
COUNCILMEMBER CARSON REQUESTED STAFF REPAIR THE STREETS IN THE
VICINITY OF THE CALIFORNIA SENIOR HOUSING PROJECT; STAFF TO
CONDUCT SPECIFIC INSPECTION AND COME UP WITH A REPAIR RESURFACING
PLAN FOR THE AREA.
City staff has inspected the surrounding area where the California Senior Housing project was
constructed.
In August, 2005 the Streets Division will resurface N Street between California Avenue and 10th
Street, O Street between California Avenue and 10th Street and 11 th Street between P Street and
N Street.
In the 2006/2007 budget year we plan submit, to Community Development, a request for CDBG
funds to install curb, gutter and sidewalks in the area between California Avenue and Bmndage
Lane from Chester Lane to P Street.
G:\GROU PDAT\ReferralsX2005\03 -09\Ref# 1057-Luis P.doc
B A K E R $ F I E L D
CITY OF BAKERSFIELD
PUBLIC WORKS DEPARTMENT
MEMORANDUM
TO: Alan Tandy, City Manager
FROM: Raul Rojas, Public Works Director /f~ . j
DATE: March 14, 2005
SUBJECT: VALLEY FEVER INFORMATION
Referral No. 1052 (Meeting: 3/09/05)
VICE-MAYOR MAGGARD REQUESTED STAFF CONTACT MS. LARSON TO
ASCERTAIN WHETHER SHE HAS BROCHURES REGARDING VALLEY FEVER
WHICH MAY BE DISTRIBUTED TO EMPLOYEES.
Staff has contacted Ms. Larson and will be scheduling some times for her to show a video to
employees at the various safety meetings.
G:\GROUPDAT\Referrals~2005\03-09\Ref#1052- Brad Underwood.doc
B A K E R S F I E L D
CITY OF BAKERSFIELD
PUBLIC WORKS DEPARTMENT
MEMORANDUM
TO: Alan Tandy, City Manager
FROM: Raul Rojas, Public Works Director ~
DATE: March 17, 2005
SUBJECT: VEHICLE LEASING VS PURCHASING
Referral No. 1055 (Meeting: 03109105)
VICE-MAYOR MAGGARD REQUESTED STAFF PROVIDE INFORMATION
REGARDING THE FEASIBILITY OF LEASING POLICE AND SERVICE
VEHICLES VERSUS THE PURCHASE OF VEHICLES.
Staff contacted Jim Burke Ford to obtain lease pricing for a police sedan and a
Ford F-150 pickup. Staff's findings are summarized in the attachment. For
the two (2) vehicle types involved in this review, the Ford F-150 pickup showed a
significant increase of $11,986.44 for a lease over a purchase, while the Police
Crown Victoria showed an increase of $2,815.33 for a lease over a purchase.
Overall, the attachment shows an increase in costs with leasing the equipment
versus purchasing.
In addition, to the increased costs, some leases have additional constraints such
as not to exceed baselines for hours usage or mileage usage. Additional costs
would most likely be incurred for exceeding any baselines established by the
vendor.
Staff recommends continuing the current practice of purchasing equipment
outright versus leasing because of the increased costs involved with leasing.
S:\Medina\WP\Memos\MaggardLeaseVsPurch.doc
Council Referral #1055
Attachment
Life Cost Difference
Equipment Type Purchase Expectancy Lease Term Purchase rs, Lease
Ford
Crown Victoria $ 22,721.62 5 years $ 25,536.95 5 years $ 2,815.33
Ford
F-150 Pickup $ 14,743.24 8 years $ 26,729.68 8 years $ 11,986.44
G:\GROUPDAT~Referrals~2005\03-09\Lease Exhibitdocrevised.doc
B A K E R S F I E L D
CITY OF BAKERSFIELD
PUBLIC WORKS DEPARTMENT
MEMORANDUM
TO: Alan Tandy, City Manager
FROM: Raul Rojas, Public Works Director ._______________~~
DATE: March 14, 2005
SUBJECT: POT HOLE/PAVING CREWS
Referral No. 1056 (Meeting: 3/09/05)
VICE-MAYOR MAGGARD REQUESTED STAFF EXPLORE THE FEASIBILITY OF
HIRING A POT HOLE CREW INSTEAD OF PAVING CREW; AND WHEN REPAVING
A STREET, HIRE A PRIVATE COMPANY TO PERFORM THE WORK. ALSO,
PROVIDE THE STATUS OF PAVING THE OTHER HALF OF MAYVVOOD DRIVE.
The staffing request is not for an additional resurfacing crew. Current staffing levels are
such that when resurfacing, pothole patching, and other critical work cannot be done on
a continuous basis. The requested additional employees will allow for the daily.
scheduling of four patch crews, allow work on other critical street maintenance projects,
and provide assistance on street resurfacing/reconstruction projects. The additional
personnel will help us accelerate our resurfacing projects by assisting the annual
grinding contractor in preparing streets ahead of the resurfacing crew. It will also allow
us to prepare (pulverize) streets that are in need of reconstruction, without interrupting
resurfacing projects.
Each budget year, we try to get the most efficient use of funds that are allocated for
street repairs. Paving residential streets by contract service is expensive, as opposed
to having our Streets Division perform this service (see attached cost comparison).
Comparing local street resurfacing, the City cost per lane mile is 56% of the cost by
contract. This results in nearly twice as much resurfacing completed each year when
using City crews. Therefore, having the Street Division pave and reconstruct local
streets increases the number of streets that can be repaired each year, with the funds
that are allocated for street work. One reason for this cost difference is that all City
personnel on a paving crew will assist with any manual work that has to be performed.
Contractor personnel can only perform their job function per Union Standards, i.e., a
Roller Operator operates a roller, a Truck Driver drives a truck and this does not provide
them the flexibility to have their employee's multi-task.
G:\GROUPDAT~Referrals\2005\03-09\Referral_1056_Brad.doc -- Page 1 of 2 Pages--
Paving of major streets has always been contracted out to the lowest bidder. This is
where paving contractors can excel. They have the equipment to handle the larger jobs
where belly dump trucks can be used to haul-in the asphalt material, and their paving
machine can then lift the asphalt from the ground resulting in greater production.
Parts of Maywood Drive received a one inch overlay, by Granite Construction, in the
year 2000. The part on Maywood Drive, from Camden Street to 3102 Maywood Drive,
is on the Streets Division 2005/2006 reconstruction, list, due to its extreme deteriorated
condition. The target date to start work on this project is October, 2005.
AEach.
G:\GROUPDAT~Referrals~2005\03-O9\Referral_1056_Brad.doc -- Page 2 of 2 Pages -- ~
OUTSIDE AGENCIES
Cost to reconstruct/resurface one lane-mile by an outside contractor. Cost estimates were obtained using
bid prices for items of work from our last resurfacing project (07-2004) and adding a 4% cost increase to
bring the prices to this year.
COST PER LANE-MILE - OUTSIDE CONTRACT
Streets Resurface Reconstruct
Local $79,000 Per lane-mile $222,000 Per lane-mile
Collector $76,000 Per lane-mile $281,000 Per lane-mile
Arterial $77,000 Per lane-mile $281,000 Per-lane mile
PUBLIC WORKS - STREETS DIVISION
Cost to resurface/reconstruct one lane-mile by City forces. Cost estimates are at current prices for direct labor,
fringe benefits, overhead cost, internal equipment rental and material.
CURRENT COST PER LANE-MILE - STREETS DIVISION
Streets Resurface Reconstruct
Local $44,273 Per lane-mile Asphalt overlay .... $60,714
Includes cost of grinding Pulverizing ......... $4,409
by annual contractor.
Total cost = $65,123 Per lane-mile
Collector City staff does not resurface or reconstruct.
Arterial City staff does not resurface or reconstruct.
B A K E R S F I E L D
CITY OF BAKERSFIELD
PUBLIC WORKS DEPARTMENT
MEMORANDUM
TO: Alan Tandy, City Manager
FROM: Raul Rojas, Public Works Director ~
DATE: March 14, 2005
SUBJECT: EVALUATE BULKY WASTE COLLECTION PROGRAM
Referral No. 1069 (Meeting: 3/09/05)
VICE-MAYOR MAGGARD REQUESTED THE BUDGET AND FINANCE COMMITTEE
EVALUATE, IF THE MEETING SCHEDULE ALLOWS, A POTENTIAL BULKY WASTE
COLLECTION PROGRAM. IF THEY ARE UNABLE TO MEET IN THE NEXT FEW
WEEKS, STAFF SHOULD RETURN TO THE FULL COUNCIL WITH INFORMATION
ON THE BULKY WASTE PROGRAM FOR CONSIDERATION.
Staff is preparing to report on the subject of Bulky Waste Collection at the March 30,
2005 City Council meeting.
G:\GROUPDAT\Referrals~2005\03 -09\Re~ 1069-Kevin B.doc
BAKERSFIELD POLICE
MEMORANDUM
TO: ALAN TANDY, CITY MANAGER
FROM: W.R. RECTOR, CHIEF OF POLICE tJ~
DATE: MARCH 17, 2005
SUBJECT: APPREHEND GRAFFITI VANDAL
Council Referral No. 1063 (Ward 3)
Vice-Mayor Maggard requested the police department devote some attention to apprehending
a graffiti vandal in the area of Marella and California Avenue. The name is painted several
times at this location.
Officer Hilliard is conducting an investigation into this situation. To this point he has identified
two suspects and has executed a search warrant at an apartment in the 4500 block of
California Avenue. The search yielded a great deal of evidence. Officer Hilliard is in the
process of obtaining an arrest warrant and plans to meet with the suspects' attorney later
today.
School Resource Officer Rodriguez teamed with Officer Hilliard to work on another
neighborhood problem in the area of Tierra Verde. As a result of their work, three arrests were
made and 29 graffiti cases were solved.
WRR/GM/vrf
B A K E R S F I E L D
CITY OF BAKERSFIELD
PUBLIC WORKS DEPARTMENT
MEMORANDUM
TO: Alan Tandy, City Manager
FROM: Raul Rojas, Public Works Director ~ ~
DATE: March 14, 2005
SUBJECT: BULKY WASTE PICKUP PROGRAM FEES
Referral No. 1061 (Meeting: 3/09/05)
COUNCILMEMBER COUCH REQUESTED STAFF ANALYZE THE COST PERI
HOUSEHOLD OF IMPLEMENTING A CITY BULKY WASTE PICKUP PROGRAM.
Staff has analyzed the cost of implementing a household bulky waste pickup program,
and is conducting meetings with local haulers and nonprofit organizations to determine
how to best design a program. Staff is preparing a report for the March 30, 2005 City
Council meeting.
G:\GROUPDAT~ReferralsL2005\03 -09\Ref~ 1061 -Kevin B.doc
RECEiVED~
I'IAR 1 6 2005
~ CITY MANAGER'S OFFICE
B A K E R S F I E L D
CITY OF BAKERSFIELD
PUBLIC WORKS DEPARTMENT
MEMORANDUM
TO: Alan Tandy, City Manager
FROM: Raul Roj.as, Public Works Director~__/"~,___._~
DATE: March 14, 2005
SUBJECT: TRANSFER STATION JPA
Referral No. '10SS(Meeting: 3/09/05)
COUNCILMEMBER HANSON REQUESTED CITY AND COUNTY STAFFS WORK
TOGETHER TO DEVELOP A RESOLUTION OR JPA, AND REPORT BACK TO BOTH
BOARDS.
COUNCILMEMBER COUCH REQUESTED THE SPECIFICS CONCERNING THE
RESOLUTION OR JPA BE PRESENTED AS SOON AS POSSIBLE AFTER APRIL 9,
2005.
City and County staff have had a series of meetings on this subject as part of the Ad
Hoc Committee appointed by the Kern County Solid Waste Advisory Committee
(SWMAC). The Ad Hoc Committee includes SWMAC representatives City
Councilmember Hanson, County Supervisor Maben, Public at Large Member Pat
DeMond, and SWMAC Chairman Larry Moxley. The Ad Hoc Committee will report to
the SWMAC at its April 8th meeting, after which SWMAC will make recommendations to
the County Board of Supervisors at a future meeting.
Thus far, the Ad Hoc Committee has determined that a Transfer Station Joint Powers
Authority (JPA) would include the City of Bakersfield and Kern County, with the
possibility of including the City of Shafter, since the Shafter Landfill will be closed in just
over ten years. Although a JPA is, by definition, a joining of public agency powers and
not private companies, the' Ad Hoc Committee agrees that transfer station planning
should be done with input from the local hauling companies.
The Ad Hoc Committee also has determined it best for the JPA to focus on the transfer
station issue, rather than expand the scope to include other solid waste programs. This
is because of differences in how City and County solid waste and recycling programs
are funded.
G:\GROUPDAT\Referrals~2005\03-09\Re~ 1068-Kevin B.doc
B A K E R S F I E L D
CITY OF BAKERSFIELD
PUBLIC WORKS DEPARTMENT
MEMORANDUM
TO: Alan Tandy, City Manager
FROM: Raul Rojas, Public Works Director/x~~__~
DATE: March 14, 2005
SUBJECT: IMPLEMENT SMALL TRAFFIC PROJECTS
Referral No. 1060 (Meeting: 3/09/05)
COUNCILMEMBER COUCH REQUESTED STAFF EVALUATE IMPLEMENTING
SMALLER TRAFFIC PROJECTS, SUCH AS RIGHT HAND TURN LANES, DUAL
RIGHT HAND TURNS AND PROTECTED RIGHTS, IN ORDER TO IMPROVE
TRAFFIC FLOW.
The Traffic Engineer does, and will continue to, evaluate and make recommendations
for implementation of traffic projects such as right turn lanes, intersection expansions,
restricted left turn lanes and others. Each new development, whether a tract or parcel
map, a commercial retail development or a zoning change, is evaluated for traffic flow
mitigation. These new developments are frequently required to implement right turn
lanes or intersection expansions to accommodate right and left turn lane capacity
improvements.
Intersection improvements to include right turn lanes and associated intersection
widening are also included in the Traffic Impact Fee program project list. New
development pays into this program and the funds are used to mitigate traffic
congestion, improving traffic flow, via projects that include right turn lanes.
As an example, there are three CIP projects in construction specifically to add right turn
lanes on heavily traveled roads. One is on Ming Avenue at the Valley Plaza/Highway 99
on-ramp, another at Truxtun and Office Park and the last one at Truxtun and
Commercial Way.
Traffic Engineering will continue to study and make recommendations for new projects
to be included in the CIP, or the Traffic Impact Fee program, which will improve the flow
of traffic and reduce congestion in the City of Bakersfield.
G:\GROUPDAT\Refermls~2005\03 -09\Re~ 1060-Steve W.doc